Tata Chemicals to sell Haldia plant to Indorama Holdings unit for Rs375 crore
Tata Chemicals board has approved sale of its Haldia plant by way of slump sale on a going-concern basis to IRC Agrochemicals, a wholly-owned subsidiary of Indorama Holdings
Mumbai: The board of Tata Chemicals Ltd has approved the sale of its non-bulk phosphatic business to IRC Agrochemicals for Rs375 crore, the company said on Monday,
The transaction will involve sale of the fertilizer business, the assets attached to it as well as the company’s Haldia plant, Tata Chemicals said. IRC Agrochemicals is a wholly owned subsidiary of the Netherlands-based Indorama Holdings BV.
“This move builds on our earlier announcement with regard to the sale of the urea business to exit the fertilisers businesses completely,” Tata Chemicals MD R. Mukundan said in the statement. “The company continues to move forward on its strategy to focus on speciality chemicals and consumer food business while maintaining leadership in inorganic chemicals business. The company is pleased to have found a partner with long-term interest in the phosphatic and fertilizer business who would build this phosphatic business further.”
The deal comes at a time when Tata Chemicals is working to move out of the unprofitable and costly fertilizer business, further bogged down by government subsidies.
Tata Chemicals, meanwhile, has been increasing investments and focus on its consumer business which includes Tata Salt, and spices and pulses under the Tata Sampann brand.
- Biocon receives EIR from USFDA for its Bengaluru facility producing sterile
- Infosys to now focus on relentless execution, stability concerns addressed: Nandan Nilekani
- McDonald’s adopts eco-friendly cutlery in West and South India
- US investors seek Chanda Kochhar’s ouster from ICICI Bank
- LIC seeks govt nod to buy controlling stake in IDBI Bank